Technical Efficiency of Milk Processing

Kód výsledku v IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00027251%3A_____%2F20%3AN0000023" target="_blank" >RIV/00027251:_____/20:N0000023 - isvavai.cz</a>

Výsledek na webu

<a href="https://ap.pef.czu.cz/en/r-12193-conference-proceedings" target="_blank" >https://ap.pef.czu.cz/en/r-12193-conference-proceedings</a>

DOI - Digital Object Identifier

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Jazyk výsledku

angličtina

Název v původním jazyce

Technical Efficiency of Milk Processing

Popis výsledku v původním jazyce

The aim of this paper is to evaluate the technical efficiency of Czech milk processing companies that can be affected by sector changes. During last ten years there are large fluctuations in profits due to increase of costs and decrease of revenues. A parametric method Stochastic Frontier Analysis was used to calculate the technical efficiency by True Fixed-effects model with half normal distribution of technical inefficiency term. There were 613 observations per 53 milk processing firms for years 2004 to 2017. Results showed that technical efficiency of sample of milk processing companies is on 65.7% level. Median was higher, half of the firms were more or less efficient than 71.5%. There was none firm that would be 100% efficient in all years. The most efficient firm had average efficiency 93.82%. On the other hand, minimum was only 19.49% that points out on the firm that produces too small output with too many resources. In comparison to other studies it is very low efficiency. One of the reasons can be the situation in this sector and price fluctuations. The sample consist mainly of small and medium enterprises for which it is harder adapt to sectoral changes and price fluctuations can affect their economic situation. Therefore, the data must be subjected to further analysis to find the part of milk processors with such lower efficiency.

Název v anglickém jazyce

Technical Efficiency of Milk Processing

Popis výsledku anglicky

The aim of this paper is to evaluate the technical efficiency of Czech milk processing companies that can be affected by sector changes. During last ten years there are large fluctuations in profits due to increase of costs and decrease of revenues. A parametric method Stochastic Frontier Analysis was used to calculate the technical efficiency by True Fixed-effects model with half normal distribution of technical inefficiency term. There were 613 observations per 53 milk processing firms for years 2004 to 2017. Results showed that technical efficiency of sample of milk processing companies is on 65.7% level. Median was higher, half of the firms were more or less efficient than 71.5%. There was none firm that would be 100% efficient in all years. The most efficient firm had average efficiency 93.82%. On the other hand, minimum was only 19.49% that points out on the firm that produces too small output with too many resources. In comparison to other studies it is very low efficiency. One of the reasons can be the situation in this sector and price fluctuations. The sample consist mainly of small and medium enterprises for which it is harder adapt to sectoral changes and price fluctuations can affect their economic situation. Therefore, the data must be subjected to further analysis to find the part of milk processors with such lower efficiency.

Druh

D - Stať ve sborníku

CEP obor

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OECD FORD obor

40500 - Other agricultural sciences

Projekt

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Návaznosti

I - Institucionalni podpora na dlouhodoby koncepcni rozvoj vyzkumne organizace

Rok uplatnění

2020

Kód důvěrnosti údajů

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Název statě ve sborníku

Agrarian Perspectives XXIX. Trends and Challenges of Agrarian Sector

ISBN

978-80-213-3041-2

ISSN

2464-4781

e-ISSN

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Počet stran výsledku

8

Strana od-do

376-383

Název nakladatele

Česká zemědělská univerzita Praha

Místo vydání

Praha

Místo konání akce

Praha

Datum konání akce

16. 9. 2020

Typ akce podle státní příslušnosti

WRD - Celosvětová akce

Kód UT WoS článku

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